Ex-Brand Energy MD joins Lyndon SGB

Lyndon SGB has appointed respected and well-known Brand Energy Director, Derek Heaney in the role of National Accounts Director.

Heaney joins Lyndon SGB having made his name with BrandSafway.

Heaney will work on both new and existing Lyndon SGB clients and brings a wealth of access industry experience, with a proven track record in the scaffolding industry and large-scale developments across the globe.

As the ex-Managing Director of Brand Energy International in India and Egypt, Heaney joins Lyndon SGB having made his name with BrandSafway. He raised the profile of the company and strengthening its position as the region’s top scaffolding and access provider.

Speaking of his new role, Heaney said “I am joining Lyndon SGB at really busy time, but I am thrilled by the massive potential to go further. Lyndon SGB has a tremendous foundation. Our plan is to ensure Lyndon SGB is the scaffolding contractor of choice for major infrastructural and industrial projects, nationwide. 

Our ability to offer all types of scaffolding while being supported by mast climbers and our market leading hoist provider, Taylor’s Hoists, means we can provide clients with a unique integrated ‘total access’ service.”

Managing Director Stuart Robinson has said: “Getting someone of Derek’s vast access sector experience on board just as we come out of the pandemic, is perfect for our mission to expand nationwide and support the extensive recovery and growth in the UK construction sector.

His know how, vast contacts book and well-known enthusiasm will be just what we need to serve our top clients’ premier projects in industry, infrastructure, and commercial construction – supporting the country’s economic bounceback.”  

BrandSafway purchased Lyndon Scaffolding and Taylor’s Hoists in January 2019 combining the businesses with SGB to create a truly national access provider, Lyndon SGB.

Lee Marley opens Scottish scaffolding division

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Lee Marley Brickwork has just announced a new Scottish scaffolding division in Glasgow.

The scaffolding and brickwork contractor LMB has appointed Billy Dolan as Operations Manager of their new Scottish scaffolding division based in Glasgow. It’s the next step in the company’s national expansion plan. Billy brings over 30 years of experience in the construction industry in a management position, he has worked for a spectrum of multi-national, national and local businesses over his career. Billy said: “I am delighted to join the Lee Marley team in Scotland and to work alongside Michael Carr. We are extremely excited that we can now offer our clients a full package service of scaffolding and brickwork, as well as being flexible to offer them as standalone services.” Michael Carr, Commercial Manager – Scotland comments: “Billy is a great addition to our team in Scotland.  In the five years that we have been operational in Scotland it has been an ambition of mine to offer a masonry and scaffold solution that mirrors our set-up south of the border.  Billy’s wealth of experience in this sector allows us to offer our customers the same high standard from a scaffold perspective that we have become known for through our masonry side of the Scottish business.” Billy is excited to be part of the company’s continued expansion plans and with the investment that LMB have put into the Scottish market, he has high hopes for the future. As of next month, LMB will be working on several projects in Scotland that cover new build housing and social housing. The team are delighted to announce they will be working on a scaffold and brick package for Morrisons on their Winchburgh schools project. In Scotland, Lee Marley Brickwork Ltd are working on many brickwork projects including a number of projects in Edinburgh and Glasgow. LMB Joint Managing Director Dan Clarkson added: “Having worked closely with Bill over a number of years it is great to have him join our team in Glasgow. His technical and safety knowledge is second to none and his appointment allows us to replicate the combined brickwork and scaffolding offering that has proved so successful in London and the South East. It will also allow us to offer scaffold only services to a wider range of clients on new-build, refurb and maintenance projects across the Central Belt”  

TRAD Group reveals new safety initiative for 2021

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The company has set up group-wide Project Units to help drive its approach to a range of business issues.

TRAD Group (‘TRAD’), one of the UK’s leading scaffolding and access companies, has announced a new safety initiative for 2021. The initiative was driven by internal committees set up to tackle key business issues, the company said. COVID permitting, the Group is set to begin a roadshow around the country, visiting all its depots and offices to deliver engaging content on safety and wellbeing. The initiative, called the Personal Engagement Programme – or PEP talks – is focused not just on industry-led health and safety issues, but also on general wellbeing and mental health, something that has been a focus for CEO Des Moore for some time. “One in four of us suffers from a mental health issue,” he comments. “That means that, on any given construction site or office, there are likely to be several people who may be struggling and not know where to turn. That’s why it’s important that employers support their people not just with their personal health and safety, but with their ongoing wellbeing, and that’s a vital part of our new approach.” The initiative is the result of TRAD’s new Project Unit approach, which involves representatives from all areas across the business. These teams come together to review existing initiatives and improves the way that the business works both internally and with other site workers, customers, suppliers and the general public. “We already have a fantastic range of health and safety programmes in place,” says Steve Kearney (Group Safety and Quality Assurance Director). “The Project Unit has picked the best and most successful parts of these programmes and enhanced them with a wider approach. We’ll be re-inducting staff, which is a big project, but is important to ensure that everyone is on board and understands the protections and support in place across the company.” “Alongside positive communications and support from managers and supervisors, so that they are leading by example, there will be monthly visits to the depots, sites and the team to ensure that the staff’s health, safety & wellbeing is much higher than just a satisfactory level.”   The company says it wants to engage fully with its staff, and for the staff to be open and recognise they can talk, whether it be something personal, or whether it be about the business in general and ways to potentially improve the way things are currently done. “We believe in reward and recognition,” adds Des Moore, “so will be instituting quarterly awards and prizes for people who demonstrate a great attitude to safety and wellbeing, and who put themselves out to be a beacon for best practice. Our aim is to make things better for our people and in turn for our sites, our customers and everyone coming into contact with our work and our people.”

G-DECK Invests £1M in new factory and Equipment

Safety decking systems manufacturer G-DECK has delivered a £1,000,000 investment plan to increase its capacity, reduce lead times and underpin quality assurance as the company continues to grow.

Based in Leicester with manufacturing facilities in the Polish city of Walbrzych, G-DECK has experienced such high demand for its safety deck systems that the company has invested in a second factory and a state-of-the-art laser fibre Kimla Power Cut machine. The investment programme will dramatically increase the company’s output capacity, ensuring production remains cost-effective and lead times remain short as demand continues to increase. Ty Wilson, sales director of G-DECK explains: “We manufacture three G-DECK systems – our standard metal decking system, our G-DECK Dual system, which combines our trademark metal decks and patented brackets with scaffold tubing, and our G-DECK Lite system with plastic coated metal legs. Demand is high for all three systems because they combine high safety standards with ease and speed of installation. “We are committed to ensuring our customers receive the products they need on site on time so, as we continue to grow, we’re reinvesting in the business to keep that promise and maintain the quality standards that have made us first choice for so many construction contractors, housebuilders and scaffolding companies.” The new factory brings G-DECK’s total manufacturing operations to 80,000 sq ft, along with 72,000 sq ft of office, fabrication and stockholding accommodation at the company’s Leicester headquarters. The new Kimla Power Cut machine will enable precision cutting of metal G-DECK components up to ten times faster than before, enabling the company to increase the volume of product produced, maintain short lead times and provide exacting standards of quality assurance. “Having built a reputation for quality, service and innovation,” Ty adds, “we are now focused on how we maintain those standards while scaling up production to meet demand. The new factory and machine are now fully commissioned and we have an efficient logistics operation to bring the product to the UK market, enabling us to supply customers quickly and efficiently.”

Millcroft to Kick Start 12 Scaffolding Careers

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Scaffolding contractors, Millcroft, is to take on 12 young people over the next two years under the Government’s Kick Start Scheme, creating opportunities for young people and investing in skills for the sector.

Launched last September, the Government scheme aims to help young people aged 16-24 to take their first steps on the career ladder by generating six-month paid work placements in a trainee role. The new recruits will work a 25-hour week at Millcroft and receive training, along with the potential to go on to a full-time, permanent position. Millcroft is currently in the process of recruiting the first six Kick Start trainees, who are expected to join the business in March. The company say they will carry out a full selection process to bring on three trainee scaffolders, a trainee quantity surveyor, a trainee estimator and a trainee administrator, all of whom will undergo an induction, including health and safety training for those in on-site based roles. Billy Jones, managing director of Millcroft comments: “As a company, we are committed to training and personnel development and have a long track record of developing young people through apprenticeships. We have our own training centre on site and an excellent staff retention record because we offer every member of the team the opportunity to progress in their career with us. “We were alerted to the Kick Start scheme by the NASC who are keen for scaffolding companies to take advantage of the initiative to develop the next generation of skills for the sector. It’s the ideal solution for us because it allows us to provide young people with the lucky break they need to start a rewarding career, while adding to the team as we continue to serve clients across the construction, transport, industrial and heritage sectors.” The Kick Start recruits will be mentored by experienced members of Millcroft’s skilled team and a second cohort of young people will join the company in 2022. Henry Annafi, training officer at the NASC adds: “The Kick Start Scheme is the ideal opportunity for scaffolding companies to bring fresh talent into the sector and create real social value in the process by generating opportunities for the 16-24 year-old demographic who have been hardest hit by the economic impact of the pandemic. “With their focus on training and apprenticeships, it came as no surprise to us that Millcroft got on board with the scheme and we’re looking forward to seeing their new recruits flourish in such a supportive company culture.”

Midlands college still open despite lockdown

The Construction College Midlands, formerly the National Construction College Birmingham is reassuring local firms that it is open as usual.

It’s open for commercial courses for key industry workers, the college said which includes those in construction, utilities and estates operations.

Walsall College acquired the site in Kings Norton in December 2020 from the CITB. The sale included the land, buildings and business. 17 CITB staff members were also transferred over as employees of Walsall.

Neil Sambrook from National Construction College said: “CCM realise that scaffolding is a safety-critical industry and is supporting employers by continuing to offer a suite of CISRS training programmes.

As you would expect, the safety of all is paramount in these difficult times and the centre is following all the relevant COVID secure guidelines to ensure everyone on site is protected but remain able to obtain the correct card to ensure construction projects continue as scheduled.”

The college offers the full range of CISRS programmes, from new entrants on COTS courses, through to the Advanced Scaffolder training, supervisory programmes and scaffold inspection courses. The college can also offer SSSTS and SMSTS courses throughout the lockdown via remote delivery sessions.

Neil Sambrook added: “As you would expect, CCM is constantly reviewing the situation and reacting swiftly to government guidelines, ensuring that safety of all attendees remains of the highest priority.”

Scaffolders strike action continues

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More than 50 scaffolders are now in their fourth week of strike action at British Steel’s Scunthorpe steelworks.

The scaffolders, members of Unite and employed by Brand Energy have been striking for the industry-agreed Blue Book rate of pay, an increase of around £2 an hour. They are responsible for the maintenance of over 500 scaffolding structures at the Scunthorpe site. But the dispute has been ongoing since 2019. According to Unite since 2019, Brand Energy has refused to engage with the union over the pay dispute, leaving them with no option but to ballot for strike action. As previously reported the scaffolders began strike action in late January and having already taken three weeks of 48-hour strike action, the workers are now ramping up to three days of walk outs. Workers aim to hit Brand Energy with the increased action, who are losing the maintenance contract on the site to Activo. They hope the increased action will send a clear message to the new contractors and getting the rate for the job. Scaffmag understands that Activo has offered talks in advance of starting the new contract in March.

New MD appointed as IDH starts 2021 on a high

Tim Burt steps up to CEO at IDH as the company eyes South West expansion.

Independent Design House (IDH), the engineering design consultancy based in the UK and Poland, is consolidating a successful 2020 with the appointment of Ian Fernandes-Johnson as managing director, as Tim Burt moves into a new CEO position at the company.

Now over 30 people-strong, the business has also welcomed a new Engineering Manager as it eyes further expansion in the South West.

Working with industry-leading clients such as ISG and Laing O’Rourke Construction Ltd, IDH has just opened its first office in Bristol, led by Fernandes-Johnson.

This will be a new addition to its UK operations, currently centred in Maidstone, which works closely with its hub in Krakow, which is now known as Independent Design House Sp. Z o.o.

The firm provides both temporary and permanent works design; with full 2D draughting and 3D modelling services along with all BIM requirements.

2021 will also see IDH increasing its work for the steel industry, continuing to offer services ranging from structural frame design to connection design and Finite Element Analysis (FEA) and further temporary works design, plus full draughting services.

It will also offer design and support for all bridge installation schemes, both steel and concrete.

Leading UK operations will be new managing director, Fernandes-Johnson, who has a strong background in steel and bridge engineering and is highly experienced through working with companies such as Bourne, Cleveland Bridge, ISG and engineering consultancies in the nuclear sector.

He has been tasked with expanding and developing the business, with a focus on the West Country.

Fernandes-Johnson comments: “Building on my experiences working in some major construction companies I felt it was the right time for me to step up to a managing director role.

I’m particularly excited about joining such a great team, opening a new Bristol office, and developing our offering to the industry in this part of the country, building and on our work in London and the South East. I’m looking forward to working with existing customers and offering our services more broadly.”

Meanwhile, as CEO, Burt will be overseeing the business as a whole, as well as focusing on a new property development arm, with builds starting in early 2021.

He comments: “2020 laid the groundwork for a brilliant new year, and we’re so pleased we can bring Ian on board as MD while I expand my role. We will be focusing on developing our UK team to concentrate on design delivery and management, with our core team of highly technical engineers undertaking design and analysis from our base in Poland.”

Get used to higher pricing

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Glynn Burrows, TRAD Group Purchasing Manager discusses the higher prices for materials the industry is experiencing and how we should get used to it. 

Like all construction industry suppliers, we’ve seen issues recently in terms of raw materials pricing, which in turn affects the prices of the products we buy. Prices for everything – from timber to steel – have risen significantly over the past year. On top of that, logistics costs have soared, with some container prices rising five-fold in recent times. Of course, we’re all used to managing price fluctuations, but this feels different. Raw material prices are much higher. They are higher across the board. And it’s costing more to get products made from those materials to our door. Traditionally, companies like ours would absorb some of those additional costs to avoid passing them onto our clients; but this isn’t sustainable in these conditions, and so it’s likely that end customers are already seeing prices rise, and are likely to continue to do so for some time to come.

Managing higher prices

As part of the ALTRAD Group, TRAD’s procurement and supply lines are good. We have excellent relationships with our own suppliers, and we forecast well ahead of time to ensure we have everything we need to meet our business goals and to support our customers. Nevertheless, this is an extremely challenging time – not just for us, but for the industry – and we expect things to remain challenging for the next few months at least. We anticipate that prices will stay high until the summer. And even when they reduce, we think it’s unlikely they will be as competitive as we are used to. Around the world, economies will want to build, in order to recover from the effects of the pandemic. That will create further demand for raw materials and that will continue to influence prices.

Projects need to continue whatever the cost

In the UK, large projects may suffer from the knock-on effect of these procurement issues. Many of the ongoing construction projects in the UK are essential infrastructure projects – they can’t be stopped and they have already set their budgets and done their own forecasting. But they are likely to have to either pay more in order to source the materials they need, or they are going to get less material for their budget. For those projects that are government-backed, this clearly means more cost for the taxpayer. And privately-owned construction projects will need to look at their own margins again. Of course, none of us want to be in this position. we’d like to be paying a lot less for products and transport, so that we can give our clients the best possible prices. But we believe that high prices are here to stay – for the majority of this year at least – and that we are all going to have to get used to them.

How we are helping our customers

We have invested both time and money into making sure we are able to support our customers through these challenging times. In particular, we have invested in additional hire stock, so that customers can get up to speed with site requirements, and we have also increased our sales stock, giving customers the confidence that when they need equipment, they can rely on us to supply it.

VAT reverse charge to impact over 1.2 million construction workers

HMRC’s new VAT domestic reverse charge for building and construction services comes into effect from 1st March 2021.

With this in mind, specialists from Chartered Accountancy practice, Sheards Accountancy delve into the impact the legislation will have on both the construction and property industries.

The reverse charge will apply to all CIS registered businesses buying and selling construction services that are subject to CIS reporting, apart from those that are zero-rated, up to the point in the supply chain where the customer is the end-user. At this point, the normal reporting and collection of VAT resumes.

Where the reverse charge applies, rather than the supplier charging and accounting for the VAT, the recipient of those supplies accounts for the VAT. In practice, this will mean that where there is a chain of contractors/subcontractors working on a building project, for example, none of those entities will add VAT to their invoices, other than the main contractor who is invoicing the end-user of the property.

Currently, in Great Britain, there are 290,3741 registered construction firms with 1,279,000 people employed in the industry. The construction sector has a monthly output of £14,014 million2 with an average weekly earning in the industry of £6481. But the industry has faced a number of challenges in recent years, which saw 3,502 insolvencies in the construction sector in 2019, equating to around a fifth of all insolvencies.

Kevin Winterburn, director at Sheards Accountancy commented: “The changes are a response to what HMRC have described as significant VAT fraud in the industry but they do in a way reflect a lack of trust to those operating in the sector from HMRC. The changes could have huge impacts on a company’s cash flow, so it’s essential that construction workers speak to their advisors, traders and suppliers ahead of 1st March.” 

One of the biggest challenges for businesses in the sector is cash flow and a recent survey revealed that 1 in 53 construction companies say cash flow is a constant problem, with 84% of construction companies reporting that they had problems with cash flow.

When the VAT domestic reverse charge comes into play on the 1st March 2021, experts predict this could have a negative impact on the already stretched cash flow issues in the construction industry, so it’s important for firms to review their existing work pipelines and relationships to prepare for the change.

Kevin summarises: “The VAT domestic reverse charge has been a long time coming and it’s something everyone in the industry has been aware of since 2019. But with the 1st March quickly approaching, it’s important for firms in the construction and property industries to start implementing changes to the way they work to make sure they are covered.

“We hope by highlighting the key considerations for everyone in the industry, including suppliers and customers, the changes and responsibilities of each party will be clearer.”

To find out more about the VAT domestic reverse charge please visit: https://www.sheards.co.uk/news/sheards-blog/archive/article/2021/January/vat-domestic-reverse-charge-for-building-and-construction-services